As an analyst with a background in market research and data analysis, I have closely monitored the recent developments surrounding BNB (BNB) and its price action. The two-day rally that pushed BNB above $605 on May 9 was a significant move, but today’s pullback has left many traders questioning when the token will break out toward its all-time highs.
The price of BNB (BNB) has dipped under $600 following a two-day surge that lifted its value by 5.5%, peaking at a height of $605 on May 9th.
Despite the recent dip, the data indicates that BNB‘s price is still bullish in the long term. In just the last month, the layer 1 token has experienced a significant surge, gaining 83%. In 2024 alone, its value has risen by an impressive 91%, reaching a multi-year high of $645 on March 16, 2023. This rally brought BNB close to its all-time peak of $690, which it touched on May 10, 2021.
After that point, BNB has been holding steady between $500 and $620 on the price chart, causing uncertainty among traders as they anticipate a surge to reach the token’s previous record highs.
Let’s look at the factors that could potentially send BNB higher.
Binance exchange still leads in trading volumes and market share
As a market analysis expert, I can confirm that Binance continues to lead the crypto exchange market despite experiencing decreased trading activity during the month of April.
In the tumultuous legal landscape of 2022, Changpeng Zhao, the ex-CEO of Binance, experienced a rollercoaster journey ending in a four-month imprisonment and a monumental $4.3 billion penalty for the cryptocurrency exchange. Amazingly, despite these setbacks, Binance bounced back, regaining over 40% market share between October 2023 and March 2024 through a remarkable five-month climb.
The data from CCData indicates that Binance remains the top exchange in terms of spot trading volume among centralized platforms, although its market share shrank by 3.69% in April to approximately 33.8%.
As a crypto investor, I can tell you that Binance’s leading position in the market is evident from the data provided by CoinMarketCap. The total trading volume across all cryptocurrency exchanges was $63.63 billion on May 10. Amongst this, Binance accounted for an impressive 24.9%, with a staggering $15.86 billion in trading volume. Coinbase followed closely behind, contributing $3.35 billion, while OKX came in third place with $2.29 billion.
Increased network activity backs BNB’s upside
The recent price movements of BNB have resulted in heightened activity on the blockchain, underscoring the growing importance of the BNB Chain.
Based on information from DefiLlama, there was a 54% growth in the total value locked (TVL) within BNB Chain during the year 2024. This expansion indicates heightened engagement between users and developers on the network.
The graph shows that the TVL grew from $4.99 billion on April 30th to its present value of $6.167 billion, signifying a 23.5% rise during May.
The rise in total value locked (TVL) aligns with approximately a 10% price hike, moving from a low of $536 in May to the present figure.
The rising total value locked (TVL) in BNB Chain indicates a growing engagement between users and developers within the network.
New information from DappRadar indicates that the BNB Chain continues to outshine other layer 1 blockchains, processing approximately 5.16 million transactions during the past week, compared to Ethereum’s 1.57 million transactions over the same period.
As a crypto investor, I’m excited to observe that the BNB Chain currently tops the list with over 5,315 decentralized applications (DApps) constructed on its blockchain. This represents an impressive 8% growth in just one week! In comparison, Ethereum hosts approximately 54,572 DApps, and Polygon has 2,087.
Bull pennant projects a 40% uptick in BNB price
As a researcher studying the cryptocurrency market trends, I’ve noticed some intriguing patterns based on data from CryptoMoon Markets Pro and TradingView. Specifically, the price of Binance Coin (BNB) appears to be consolidating in what’s called a “bullish pennant.” This technical formation suggests that BNB is preparing for a significant breakout leading to new all-time highs. These insights were brought to my attention by independent analyst World of Charts.
The analyst shared the following chart in a May 10 post on X, saying,
“$BNB showing strength from many #Alts formed bullish pennant successful breakout can lead massive bullish rally toward 1000$ in coming days.”
As a fellow crypto investor, I’ve noticed a remarkably similar market setup mentioned by analyst Captain Faibik in his May 7 post. He expressed his belief that Binance Coin (BNB) was poised for another bullish rally, so I strongly recommend keeping a close eye on this asset.
“In case of a breakout, expecting +40% bullish rally.”
At the point of this update, the price is sitting 15% lower than its all-time high. The MACD indicator, which assesses the relationship between two moving averages, remains in a positive area above the zero line and is on the verge of generating a bullish signal. This implies that market circumstances continue to lean towards price increases.
The significant resistance points to focus on are the upper boundary of the pennant around $610 and $650. For the bulls to advance toward record highs at $690 and eventually reach the technical objective of this chart pattern at $800, they must first transform these hurdles into areas of support. This would result in a 37% climb from the present price level.
Read More
- DOGS PREDICTION. DOGS cryptocurrency
- SQR PREDICTION. SQR cryptocurrency
- LDO PREDICTION. LDO cryptocurrency
- KNINE PREDICTION. KNINE cryptocurrency
- JASMY PREDICTION. JASMY cryptocurrency
- EVA PREDICTION. EVA cryptocurrency
- HI PREDICTION. HI cryptocurrency
- METIS PREDICTION. METIS cryptocurrency
- STG PREDICTION. STG cryptocurrency
- UXLINK PREDICTION. UXLINK cryptocurrency
2024-05-10 22:19